Taiwan's factory output hit an all-time high in July on booming AI demand — good news for chipmakers and the global AI supply chain, and a sign the boom is not slowing yet.

• Industrial production jumped 25% from a year earlier, the 29th straight month of growth.
• Chipmaking and AI server production drove the gain, with computer and optical products output nearly doubling.
• Demand for contract chipmaking and AI servers came in stronger than the government expected.
• Older industries lagged: chemicals and fertilizer slipped, and carmakers cut back as they worked through excess stock.
• Machinery output rose too, pulled along by the semiconductor buildout.

Outlook: Taiwan's economics ministry expects another record month in August, with growth staying above 25%.